What Is the Effect of the Alteration of the Check

question 15

Multiple Choice

What is the effect of the alteration of the check on Susan's status as a holder in due course?

• A) The alteration has no effect because a holder is not charged with examining an instrument presented for payment.
• B) The alteration will likely prohibit her from being a holder in due course.
• C) The alteration will affect her status as a holder in due course only if she had been put on notice of prior criminal behavior in the past on the part of Bob.
• D) The alteration will affect her status as a holder in due course only if the issuer can establish that it was not negligent in allowing a thief to gain access resulting in the alteration.
• E) On the basis that the law does not want to unduly burden holders, the alteration will affect her status as a holder in due course only because the instrument was written for an amount in excess of $500.

Comprehend the binding nature of federal agency rules and the required procedural steps for their creation.

Recognize the roles and challenges faced by administrative agencies in the regulatory landscape.

Understand the judicial and public oversight mechanisms to prevent administrative abuse.

Grasp the implications and mechanisms of judicial review of agency decisions.